s possible Next question Integrative Multiple leverage measures and prediction Carolina Fastener, Inc., makes a patented
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s possible Next question Integrative Multiple leverage measures and prediction Carolina Fastener, Inc., makes a patented
question Integrative Multiple leverage measures and prediction Carolina Fastener, Inc., makes a patented marine bulkhead latch that wholesales for $6.00. Each latch has variatsle operating costs of $3.50. Fixed operating costs are $50,000 per year. The firm pays $13,000 interest and pretened dividends of $7,000 per year. At this point, the firm is selling 30,000 latches per year and is taxed at a rate of 40% a. Calculate Carolina Fastener's operating breakeven point b. On the basis of the firm's current sales of 30,000 units per year and is interest and preferred dividend costs, calculate its est and earnings available for common stockholders (EACS). e. Calculate the firm's degree of operating leverage (DOL) d. Calculate the firm's degree of financial leverage (DFL). e. Calculate the firm's degree of total leverage (DTL) 1. Carolina Fastener has entered into a contract to produce and sell an additional 15,000 latches in the coming year. Use the DOL DFL and DTU to predict and calculate the changes in EBIT and earnings available for common Check your work by a simple calculation of Carolina Fastener's FAIT ant pamins available for nmmon in the hasir information on
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